A COMPARISON OF R.O.P. AND M.R.P. INVENTORY CONTROL LOGIC ACROSSLEVELS OF INVENTORY RECORD INACCURACY

摘要

This paper examines the effects of inventory record inaccuracy upon the performance ofdifferent inventory control (IC) logics. All IC techniques depend upon on-hand records forcomputing when and how much to order, but records are often inaccurate. This study exploresperformance differences of IC methods at numerous levels of inventory record accuracy. Asimulation method is proposed to measure inventory record inaccuracy and to incorporate it intoIC examinations. Initial results show MRP logic outperforming ROP logic until recordinaccuracy approaches 10%. The lack of detrimental effects under 7% error may contradictcommon recommendations for record accuracy.